GBP/JPY currently consolidating at the moment, price creating lower lows and lower highs suggesting we are bearish overall. I have a few ideas on how price may develop as the week goes on:
1) We could see a break and retest below 151.082 suggesting bearish pressure. If this does happen I will only be looking for sells.
2) We could see price come back to retest 151.811 meaning that 151.082 would become a higher low. Whether this level is key or interim depend on if price breaks above 151.811. From there we could see price start to break above setting a bullish directional bias for the market meaning we would only be looking for buys or we could double top and break 151.082 to confirm before selling off.
1) We could see a break and retest below 151.082 suggesting bearish pressure. If this does happen I will only be looking for sells.
2) We could see price come back to retest 151.811 meaning that 151.082 would become a higher low. Whether this level is key or interim depend on if price breaks above 151.811. From there we could see price start to break above setting a bullish directional bias for the market meaning we would only be looking for buys or we could double top and break 151.082 to confirm before selling off.